HJR 5C

1
House Joint Resolution
2A joint resolution proposing an amendment to Sections 2,
34, and 6 and the creation of Section 19 of Article VII and
4the creation of Section 27 of Article XII of the State
5Constitution to provide for an alternative methodology for
6changing assessments of homestead property, rate for
7taxing homestead property, and homestead exemption,
8provide for transitional assessments of homestead
9property, and provide an effective date.
10
11Be It Resolved by the Legislature of the State of Florida:
12
13     That the following amendment to Sections 2, 4, and 6 and
14the creation of Section 19 of Article VII and the creation of
15Section 27 of Article XII of the State Constitution are agreed
16to and shall be submitted to the electors of this state for
17approval or rejection at the next general election or at an
18earlier special election specifically authorized by law for that
19purpose:
20
ARTICLE VII
21
FINANCE AND TAXATION
22     SECTION 2.  Taxes; rate.--Except as provided in Section 19
23of this Article, all ad valorem taxation shall be at a uniform
24rate within each taxing unit, except the taxes on intangible
25personal property may be at different rates but shall never
26exceed two mills on the dollar of assessed value; provided, as
27to any obligations secured by mortgage, deed of trust, or other
28lien on real estate wherever located, an intangible tax of not
29more than two mills on the dollar may be levied by law to be in
30lieu of all other intangible assessments on such obligations.
31     SECTION 4.  Taxation; assessments.--By general law
32regulations shall be prescribed which shall secure a just
33valuation of all property for ad valorem taxation, provided:
34     (a)  Agricultural land, land producing high water recharge
35to Florida's aquifers, or land used exclusively for
36noncommercial recreational purposes may be classified by general
37law and assessed solely on the basis of character or use.
38     (b)  Pursuant to general law tangible personal property
39held for sale as stock in trade and livestock may be valued for
40taxation at a specified percentage of its value, may be
41classified for tax purposes, or may be exempted from taxation.
42     (c)  Except as provided in Section 19 of this Article, all
43persons entitled to a homestead exemption under Section 6 of
44this Article shall have their homestead assessed at just value
45as of January 1 of the year following the effective date of this
46amendment. This assessment shall change only as provided herein.
47     (1)  Assessments subject to this provision shall be changed
48annually on January 1st of each year; but those changes in
49assessments shall not exceed the lower of the following:
50     a.  Three percent (3%) of the assessment for the prior
51year.
52     b.  The percent change in the Consumer Price Index for all
53urban consumers, U.S. City Average, all items 1967=100, or
54successor reports for the preceding calendar year as initially
55reported by the United States Department of Labor, Bureau of
56Labor Statistics.
57     (2)  No assessment shall exceed just value.
58     (3)  After any change of ownership, as provided by general
59law, homestead property shall be assessed at just value as of
60January 1 of the following year. Thereafter, the homestead shall
61be assessed as provided herein.
62     (4)  New homestead property shall be assessed at just value
63as of January 1st of the year following the establishment of the
64homestead. That assessment shall only change as provided herein.
65     (5)  Changes, additions, reductions, or improvements to
66homestead property shall be assessed as provided for by general
67law; provided, however, after the adjustment for any change,
68addition, reduction, or improvement, the property shall be
69assessed as provided herein.
70     (6)  In the event of a termination of homestead status, the
71property shall be assessed as provided by general law.
72     (7)  The provisions of this amendment are severable. If any
73of the provisions of this amendment shall be held
74unconstitutional by any court of competent jurisdiction, the
75decision of such court shall not affect or impair any remaining
76provisions of this amendment.
77     (d)  The legislature may, by general law, for assessment
78purposes and subject to the provisions of this subsection, allow
79counties and municipalities to authorize by ordinance that
80historic property may be assessed solely on the basis of
81character or use. Such character or use assessment shall apply
82only to the jurisdiction adopting the ordinance. The
83requirements for eligible properties must be specified by
84general law.
85     (e)  A county may, in the manner prescribed by general law,
86provide for a reduction in the assessed value of homestead
87property to the extent of any increase in the assessed value of
88that property which results from the construction or
89reconstruction of the property for the purpose of providing
90living quarters for one or more natural or adoptive grandparents
91or parents of the owner of the property or of the owner's spouse
92if at least one of the grandparents or parents for whom the
93living quarters are provided is 62 years of age or older. Such a
94reduction may not exceed the lesser of the following:
95     (1)  The increase in assessed value resulting from
96construction or reconstruction of the property.
97     (2)  Twenty percent of the total assessed value of the
98property as improved.
99     SECTION 6.  Homestead exemptions.--
100     (a)  Every person who has the legal or equitable title to
101real estate and maintains thereon the permanent residence of the
102owner, or another legally or naturally dependent upon the owner,
103shall be exempt from taxation thereon, except assessments for
104special benefits, up to the assessed valuation of five thousand
105dollars, upon establishment of right thereto in the manner
106prescribed by law. The real estate may be held by legal or
107equitable title, by the entireties, jointly, in common, as a
108condominium, or indirectly by stock ownership or membership
109representing the owner's or member's proprietary interest in a
110corporation owning a fee or a leasehold initially in excess of
111ninety-eight years.
112     (b)  Not more than one exemption shall be allowed any
113individual or family unit or with respect to any residential
114unit. No exemption shall exceed the value of the real estate
115assessable to the owner or, in case of ownership through stock
116or membership in a corporation, the value of the proportion
117which the interest in the corporation bears to the assessed
118value of the property.
119     (c)  Except as provided in Section 19 of this Article, by
120general law and subject to conditions specified therein, the
121exemption shall be increased to a total of twenty-five thousand
122dollars of the assessed value of the real estate for each school
123district levy. By general law and subject to conditions
124specified therein, the exemption for all other levies may be
125increased up to an amount not exceeding ten thousand dollars of
126the assessed value of the real estate if the owner has attained
127age sixty-five or is totally and permanently disabled and if the
128owner is not entitled to the exemption provided in subsection
129(d).
130     (d)  Except as provided in Section 19 of this Article, by
131general law and subject to conditions specified therein, the
132exemption shall be increased to a total of the following amounts
133of assessed value of real estate for each levy other than those
134of school districts: fifteen thousand dollars with respect to
1351980 assessments; twenty thousand dollars with respect to 1981
136assessments; twenty-five thousand dollars with respect to
137assessments for 1982 and each year thereafter. However, such
138increase shall not apply with respect to any assessment roll
139until such roll is first determined to be in compliance with the
140provisions of Section section 4 of this Article by a state
141agency designated by general law. This subsection shall stand
142repealed on the effective date of any amendment to Section
143section 4 of this Article which provides for the assessment of
144homestead property at a specified percentage of its just value.
145     (e)  By general law and subject to conditions specified
146therein, the Legislature may provide to renters, who are
147permanent residents, ad valorem tax relief on all ad valorem tax
148levies. Such ad valorem tax relief shall be in the form and
149amount established by general law.
150     (f)  The legislature may, by general law, allow counties or
151municipalities, for the purpose of their respective tax levies
152and subject to the provisions of general law, to grant an
153additional homestead tax exemption not exceeding fifty thousand
154dollars to any person who has the legal or equitable title to
155real estate and maintains thereon the permanent residence of the
156owner and who has attained age sixty-five and whose household
157income, as defined by general law, does not exceed twenty
158thousand dollars. The general law must allow counties and
159municipalities to grant this additional exemption, within the
160limits prescribed in this subsection, by ordinance adopted in
161the manner prescribed by general law, and must provide for the
162periodic adjustment of the income limitation prescribed in this
163subsection for changes in the cost of living.
164     (g)  Each veteran who is age 65 or older who is partially
165or totally permanently disabled shall receive a discount from
166the amount of the ad valorem tax otherwise owed on homestead
167property the veteran owns and resides in if the disability was
168combat related, the veteran was a resident of this state at the
169time of entering the military service of the United States, and
170the veteran was honorably discharged upon separation from
171military service. The discount shall be in a percentage equal to
172the percentage of the veteran's permanent, service-connected
173disability as determined by the United States Department of
174Veterans Affairs. To qualify for the discount granted by this
175subsection, an applicant must submit to the county property
176appraiser, by March 1, proof of residency at the time of
177entering military service, an official letter from the United
178States Department of Veterans Affairs stating the percentage of
179the veteran's service-connected disability and such evidence
180that reasonably identifies the disability as combat related, and
181a copy of the veteran's honorable discharge. If the property
182appraiser denies the request for a discount, the appraiser must
183notify the applicant in writing of the reasons for the denial,
184and the veteran may reapply. The Legislature may, by general
185law, waive the annual application requirement in subsequent
186years. This subsection shall take effect December 7, 2006, is
187self-executing, and does not require implementing legislation.
188     SECTION 19.  Alternative homestead property assessment;
189taxation; exemption; future revision limitation.--
190     (a)  All persons entitled to a homestead exemption under
191this section shall have their homestead assessed at just value
192as of January 1 of the year following the effective date of this
193section. This assessment shall be changed each year by the
194percentage change in the market value of the property from the
195prior year, provided that, any increase in the assessment shall
196not exceed the lower of three percent (3%) of the assessment for
197the prior year or the percent change in the Consumer Price Index
198for all urban consumers, U.S. City Average, all items 1967=100,
199or successor reports for the preceding calendar year as
200initially reported by the United States Department of Labor,
201Bureau of Labor Statistics.
202     (b)  Under this section, homestead property shall be taxed
203at the rate of one and one-half percent (1.5%) of the just value
204of the property.
205     (c)  Every person who has the legal or equitable title to
206real estate and maintains thereon the permanent residence of the
207owner, or another legally or naturally dependent upon the owner,
208shall be exempt from taxation thereon, except assessments for
209special benefits, up to the assessed valuation of the median
210value of single-family homes for the prior year in the county in
211which the homestead is located. The owner of a homestead who is
21265 years of age or older and whose income does not exceed 80
213percent of the median family income for the county shall be
214entitled to an additional exemption equal to the amount of the
215exemption provided in this subsection.
216     (d)  The provisions of this section shall apply only to the
217owner of homestead property and the homestead if the owner makes
218an irrevocable election to have this section apply instead of
219Sections 2, 4, and 6 of this Article.
220     (e)  By general law, the legislature shall provide
221regulations to implement and enforce this section.
222     (f)  Notwithstanding any other provision of Article XI, any
223revision to the provisions of this section may be made only by
224initiative filed as provided in Section 3 of Article XI and
225submitted to the voters in a general election.
226
ARTICLE XII
227
SCHEDULE
228     SECTION 27.  Transitional assessments of homestead
229property; effective date.--
230     (a)  Each person entitled to a homestead exemption under
231Section 6 of Article VII on the effective date of this section
232shall continue to have the person's current homestead assessed
233under Section 4(c) of Article VII until the person makes an
234irrevocable election to have the person's homestead assessed
235under Section 19 of Article VII. After an irrevocable election
236is made, the homestead will continue to be assessed under
237Section 4(c) of Article VII until December 31 of the year in
238which the election is made and thereafter may not be assessed
239under Section 4(c) of Article VII. Beginning January 1 of the
240year following such election, the homestead shall be assessed
241and taxed as provided by Section 19 of Article VII. By general
242law and subject to conditions specified therein, the legislature
243shall provide procedures for persons to make the election.
244     (b)  The amendments to Sections 2, 4, and 6 and the
245creation of Section 19 of Article VII, providing an alternative
246methodology for changing assessments of homestead property,
247taxing homestead property at 1.5 percent of just value, and
248providing a homestead exemption equal to the median value of
249single-family homes in the county in which the homestead is
250located and a double homestead exemption for low-income property
251owners 65 years of age or older, and limiting revisions to a
252citizen's initiative, and this section, providing for
253transitional assessments of homestead property, if submitted to
254the electors of this state for approval or rejection at a
255special election authorized by law to be held in 2008, shall
256take effect upon approval by the electors and shall operate
257retroactively to January 1, 2008, or, if submitted to the
258electors of this state for approval or rejection at the next
259general election, shall take effect January 1 of the year
260following such general election.
261     BE IT FURTHER RESOLVED that the following statement be
262placed on the ballot:
263
CONSTITUTIONAL AMENDMENT
264
ARTICLE VII, SECTIONS 2, 4, 6, 19
265
ARTICLE XII, SECTION 27
266     ALTERNATIVE HOMESTEAD PROPERTY ASSESSSMENT, TAXATION,
267EXEMPTION.--Proposing changes to the State Constitution relating
268to ad valorem taxation as follows:
269     1.a.  Provides for changing the assessment of homestead
270property each year by the percentage change in the market value
271of the property from the prior year and limiting increases in
272assessments to the lower of 3 percent or the percentage change
273in the Consumer Price Index.
274     b.  Provides for taxing homestead property at 1.5 percent
275of the just value of the property.
276     c.  Provides for a homestead exemption equal to the median
277value of single-family homes in the county in which the
278homestead is located and a double exemption for homestead owners
27965 years of age or older with an income not exceeding 80 percent
280of the median family income for the county.
281     2.  Preserves the existing assessment, taxation, and
282exemption of homestead property but provides for an irrevocable
283election by the homestead owner to apply the provisions of the
284amendments to the homestead property.
285     3.  Limits revising the provisions of the amendment to
286citizen's initiative.
287     4.  Schedules the changes to take effect upon approval by
288the voters and operate retroactively to January 1, 2008, if
289approved in a special election held in 2008, or to take effect
290January 1, 2009, if approved in the general election held in
291November of 2008.


CODING: Words stricken are deletions; words underlined are additions.